IEE-VKA8-ALTENER/STEER Alternative vehicle propulsion

Further Information

EU transport is highly dependent on oil, which creates challenges in terms of sustainability and security of supply. Measures to improve vehicle efficiency are a first vital step to address these concerns and powertrain changes can aid this.

As a second step, in its Communication on alternative fuels, the Commission proposed that 20% of fuel for the road transport sector should be provided by alternatives to oil by the year 2020. Alternative fuels can also play a role in other transport sector€s energy needs.

The Commission concluded that the two main potential alternative fuels in the short term are biofuels and natural gas. Directives have subsequently been adopted on the promotion of biofuels for transport and reduced Excise rates for biofuels.

Introducing alternative vehicle propulsion, whether in fuel (for example from renewable sources such as biofuels or fossil sources such as natural gas or liquefied petroleum gas(LPG)) or powertrain, and overcoming consumer resistance poses a different type of challenge to those faced by the car and oil industries in the past which were met through incremental improvement. Cost, reliability and availability are key factors for the success of alternatives, which must offer comparably attractive solutions to users€ transport requirements.

The Key Action aims to encourage greater market penetration of alternatively propelled vehicles. Actions might address: development of appropriate standards and incentives, improvement of alternative fuel supply chains, development of market structures, incorporation of alternative fuels in other policies, support for vehicle testing schemes. Projects addressing the production and processing of biofuels for transport will be managed under ALTENER whilst those addressing their application and use will be managed under STEER. The Target areas to be addressed are:

• Legislation, fiscal regimes and fuels standards and norms
• Supply chain and market structures for biofuels
• Supply chain and market structures for alternative fuels requiring separate supply chains
• Market demand for alternatively propelled vehicles
• Accompanying measures

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Report: Intelligent Energy - Europe (IEE) - STEER Projects (Energy aspects of transport)

Report: Intelligent Energy - Europe (IEE) - ALTENER Projects (Renewable energy sources)

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